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Intercontinental Exchange drops takeover discussions with eBay Inc, reports declining profit

ICE said following its earnings call on Thursday that the firm has 'decided to cease exploring strategic opportunities'

Intercontinental Exchange Inc (NYSE:ICE), the company that owns the New York Stock Exchange, said that it was no longer in talks with eBay Inc (NASDAQ:EBAY).

ICE put out a statement following its earnings call on Thursday that said the firm has “decided to cease exploring strategic opportunities” based on investor conversations.

ICE said on Tuesday that it had approached eBay about “a range of potential opportunities,” amid rumors that the e-commerce company had been unresponsive toward a possible $30 billion takeover, according to a Reuters report.

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“I didn’t think it’s particularly shocking and outrageous,” ICE CEO Jeffrey Sprecher said on a post-earnings call. Sprecher added that he initially reached out to eBay 20 years ago when his company was first launching as a marketplace for electric power.

ICE, based in Atlanta, reported adjusted earnings of $0.95 per share, up slightly from $0.94 a year earlier and in line with analysts’ expectations. Revenue came in at $1.66 billion, down narrowly from $1.67 billion.

Profit fell 27% year over year, which the company pinned on declining revenue from its transaction and clearing operations.

ICE shares rose 4.2% to $93.90, while eBay fell 3.6% to $36.62.

Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com

Follow him on Twitter @andrew_kessel

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